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RPD-41108
Rev. 02/2014 STATE OF NEW MEXICO
TAXATION AND REVENUE DEPARTMENT
WORKERS’ COMPENSATION FEE INSTRUCTIONS
Page 1 of 2
EMPLOYER. The workers’ compensation fee is paid by employers and workers (employees). The revenue the fee generates is used
primarily to fund the operation of the New Mexico Workers’ Compensation Administration which regulates, adjudicates, and provides
information and advisory services to the workers’ compensation system.
The fee is paid to the Taxation and Revenue Department. You must pay the fee quarterly and separately from other taxes. The fee is not
the same as the workers’ compensation insurance premium. It is not a substitute for a workers’ compensation insurance policy. Paying
the fee does not mean that the employer has workers’ compensation insurance coverage.

Beginning with calendar quarter ending September 30, 2004, the quarterly worker’s compensation fee increased from $4 to $4.30 per
covered worker. The employer’s share increased to $2.30 per covered employee and the $2 employee portion of the fee is unchanged.
For reporting periods ending prior to July 1, 2004, the assessment fee due is $4. The additional 30 cents supplies funds for the Workers’
Compensation Uninsured Employers’ Fund. The Workers’ Compensation Uninsured Employers’ Fund provides medical and indemnity
benefits to injured workers whose employers fail to maintain workers’ compensation coverage. The fund is maintained by the recovery of
costs from uninsured employers and is supplemented by the uninsured employers’ fund fee.

WHO MUST PAY. Every employer covered by the New Mexico Line B. CRS (Combined Reporting System). This is the iden -
Workers’ Compensation Act, whether by requirement or election, tification number assigned to you by the Taxation and Revenue
must file and pay the New Mexico Workers’ Compensation Fee Department for your New Mexico gross receipts, compensating
and file Form WC-1. and state withholding taxes.

Employers covered by requirement are all those having three Line C. EAN (Employer Account Number). Also called unemploy-
or more employees, including out-of-state employers having New ment insurance number, this is the identification number assigned
Mexico employees, with the following exceptions: to you by the New Mexico Department of Workforce Solutions.
1) employers engaged in activities required to be licensed under The EAN is mandatory only for employers who must report to the
the Construction Industries Licensing Act are covered regardless Department of Workforce Solutions.
of the number of employees;
2) domestic servants, real estate salespersons and farm and REPORT PERIOD. Enter the month, day and year of the first and
ranch laborers are exempt. last day of the calendar quarter for which you are filing this report
(for example, if filing for the first quarter of 2007, enter 01-01-07
Executive employees of a corporation or a limited liability to 03-31-07).
company who are corporate officers or partners owning ten (10)
percent or more of the corporation or company are exempt from the Line 1. Number of covered workers at close of report period.
fee only if they have previously waived insurance coverage by filing Enter the number of workers (employees) to whom the Workers’
an executive employee exemption form through their insurance Compensation Fee applies. This is the number of covered employ-
agent. For further clarification, contact the Workers’ Compensation ees you employed on the last working day of the calendar quarter.
Administration. If the corporation or company has no employees If you have no covered employees, enter zero.
other than exempt executive employees, the corporation or com-
pany may exempt itself from filing the WC-1. Line 2. Assessment fee. Multiply line 1 by $4.30; multiply line
1 by $4 for calendar quarters ending prior to July 1, 2004. If you
Employers covered by election are employers in exempt cat- have no covered employees, enter zero.
egories who voluntarily provide workers’ compensation coverage
for their employees. Line 3. Penalty. 2% of line 2 for each month or partial month the
payment is late, up to a maximum of 20% of the amount due, or a
AMOUNT DUE. For calendar quarter ending September 30, 2004, minimum of $5, whichever is greater. THE MINIMUM $5.00 PEN-
and all reporting periods thereafter the fee is $4.30 per quarter for ALTY IS IMPOSED FOR FAILURE TO FILE A TIMELY REPORT
each covered employee employed on the last working day of the EVEN IF NO TAX IS DUE.
calendar quarter. $2 should be deducted from the wages of the
employee, and $2.30 should be paid by the employer. No fee is Line 4. Interest. The daily interest rate for the quarter of line 2
due for exempt employees. is computed on a daily basis, at the rate established by the U.S.
Internal Revenue Code (IRC), of the unpaid amount for each day
For report periods ending before July 1, 2004, the fee is $4 per the payment is late. The formula for calculating daily interest is:
quarter for each covered employee whom you employed on the
Tax Due x the Daily Interest Rate for the Quarter x
last working day of the calendar quarter. $2 should be deducted
Number of Days Late = Interest Due
from the wages of the employee, and $2 should be paid by the
employer. Example: Employer’s fee due on line 2 is $1,000. The payment is
five days late. To calculate interest owed, multiply $1,000 by the
LINE INSTRUCTIONS daily interest rate for the quarter. The result is the amount of interest
due for one day. Multiply that amount by five (the number of days
Line A. FEIN (federal employer identification number). This is the payment is late). The result is the interest due to enter on line 4.
the number assigned to you by the Internal Revenue Service for $1,000 x daily interest rate for the quarter x 5 = interest due
reporting purposes.

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RPD-41108
Rev. 02/2014 STATE OF NEW MEXICO
TAXATION AND REVENUE DEPARTMENT
WORKERS’ COMPENSATION FEE INSTRUCTIONS
Page 2 of 2

NOTE: You are not liable for interest if the total interest is less complete a registration update, Form ACD-31075, Business Tax
than $1.00. Registration Update, to cancel your account. You must reactivate
your account with the Department by completing the registration
Beginning January 1, 2008, interest is computed on a daily basis, update should you become subject to the Workers’ Compensa-
at the rate established by the U.S. Internal Revenue Code (IRC). tion Act either by requirement or by election. NOTE: To cancel or
The IRC rate changes quarterly. The IRC rate for each quarter is change an EAN, you must contact the New Mexico Department
announced by the Internal Revenue Service in the last month of of Workforce Solutions.
the previous quarter. The annual and daily interest rates for each
quarter will be posted on our website at www.tax.newmexico.gov. QUESTIONS. Questions regarding the Workers’ Compensation
Fee should be directed to the Taxation and Revenue Department
Line 5. Total due. Add lines 2, 3 and 4. Make check or money order in Santa Fe, your local district office, or the Workers’ Compensa-
payable to New Mexico Taxation and Revenue Department. Indi- tion Administration in Albuquerque.
cate “WC-1” and enter your FEIN on your check. WC-1 payments
should not be sent with any other payments to the Department. If you have questions about workers’ compensation insurance
coverage, call the Workers’ Compensation Administration at any
Signature. The Form WC-1 is not complete until the employer of the phone numbers listed, and ask to speak with a Compliance
or employer’s agent has signed and dated the report. Enter your Officer. Please note that the Workers’ Compensation Administration
phone number and E-mail address. does not process the assessment fee. The Taxation and Revenue
Department processes the filing of Form WC-1 and the fee.
SEND BOTTOM PORTION OF FORM ONLY. The top portion is
for your records. Do not send photocopies of a preprinted form. FOR DETAILED INFORMATION. The Workers’ Compensation
Photocopies will delay the processing of this form. Administration has published Employer Guidebook and Guía
Para Empleadores that provides detailed information about the
CORRECTIONS. If you receive a preprinted form and the pre- Workers’ Compensation Fee and other matters related to workers’
printed information on your form is incorrect, please make changes compensation. The guidebook is available online at the Work-
on Form ACD-31075, Business Tax Registration Update. ers’ Compensation Administration website, www.workerscomp.
state.nm.us. In the right column, click EMPLOYERS. Then click
IF YOUR BUSINESS IS NOT REQUIRED TO FILE THE WC-1. EMPLOYER GUIDEBOOK/GUIA PARA EMPLEADORES, open
If you are no longer in business or are not required to file, you must the English or Spanish guidebook, and scroll down to the table of
contents. Next to 19, click Workers’ Compensation Fee.

TAXATION AND REVENUE DEPARTMENT OFFICES WORKERS’ COMPENSATION ADMINISTRATION OFFICES
Website address is http://www.tax.newmexico.gov Website address is: http://www.workerscomp.state.nm.us

Albuquerque:
5301 Central NE Albuquerque: Lovington:
P.O. Box 8485 2410 Centre Ave. SE 100 West Central, Suite A
Albuquerque, New Mexico 87198-8485 P.O. Box 27198 Lovington, New Mexico 88260
Telephone: 505-841-6352 Albuquerque, New Mexico 87125 Telephone: 575-396-3437
Farmington: Telephone: 505-841-6000 or 1-800-934-2450
3501 E. Main Street or 1-800-255-7965
P.O. Box 479 Roswell:
Farmington, New Mexico 87499-0479 Farmington: 400 North Pennsylvania, Suite 425
Telephone: 505-325-5049 3535 East 30th, Suite 212 Roswell, New Mexico 88201
Las Cruces: Farmington, New Mexico 87402 Telephone: 575-623-3997
2540 El Paseo, Bldg. 2 Telephone: 505-599-9746 or 1-866-311-8587
P.O. Box 607 or 1-800-568-7310
Las Cruces, New Mexico 88004-0607 Santa Fe:
Telephone: 575-524-6225 Las Cruces: 810 West San Mateo, Suite A-2
1120 Commerce Drive, Ste. B1 Santa Fe, NM 87505
Roswell: Las Cruces, New Mexico 88011 Telephone: 505-476-7381
400 North Pennsylvania, Suite 200 Telephone: 575-524-6246
P.O. Box 1557 or 1-800-870-6826
Roswell, New Mexico 88202-1557
Telephone: 575-624-6065 Las Vegas:
Santa Fe: 32 NM 65
Manual Lujan Sr. Bldg. Las Vegas, New Mexico 87701
1200 S. St. Francis Dr. Telephone: 505-454-9251
P.O. Box 2527 or 1-800-281-7889
Santa Fe, New Mexico 87504-2527
Telephone: 505-827-0951

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